Carrington Laboratories (CARN)

Company

"Carrington Laboratories, Inc., is an ISO 9001-certified, research-based biopharmaceutical and consumer products company currently utilizing naturally-occurring complex carbohydrates to manufacture and market products for mucositis, radiation dermatitis, wound and oral care as well as to manufacture and market the nutraceutical raw material Manapol7 and cosmetic raw material HydrapolJ. Carrington also manufactures and markets consumer products under the AloeCeuticals7 brand and manufactures quality products for other companies. Manufacturing operations comply with cGMP standards. The Company's DelSite Biotechnologies subsidiary is developing its propriety GelVacJ and GelSite® technologies designed to provide vaccines and controlled release of peptide and protein-based drugs, respectively. Carrington's technology is protected by more than 130 patents in 26 countries. Select products are honored with the internationally coveted CE mark, recognized by more than 20 countries around the world." (company website)

Buy

7-Feb-05. Carrington broke out in December then pulled back. It has now regained the previous peak (see sidebar) and is poised for further advances: price momentum (PPO), money flow (CMF), trend strength (ADX), and relative strength (RSI) are all increasing. It should be a fun ride.

2-Mar-05. Damn! I hate when I buy when I meant to sell. I had decided to throw in the towel on CARN and hit the "submit" button just about one nanosecond before I realized that "buy" was checked instead of "sell."

Sell

7-Mar-05. I had meant to sell last week but accidentially bought another lot. Friday closed at the 50-day moving average. Oops.

For a brief moment this morning it looked like the decline had been stopped. Although CARN opened lower, it inched higher. Unfortunately, once it got back above the average it fell back, and that's when I decided to abandon ship. CARN is oversold (StochRSI), it is losing relative strength (RSI), selling pressure (-DI) has crossed above buying pressure (+DI), and price momentum (PPO) has dropped sharply.